NTT DOCOMO 9M profit drops 48% to JPY381.9 billion

29 Jan 2015

Japanese mobile operator NTT DOCOMO reports that overall net income attributable to the company for the nine-months ended 31 December 2014 (9M FY2014) fell sharply to JPY381.85 billion (USD3.24 billion), or JPY93.58 per share, down from JPY430.18 billion in the corresponding year-earlier period. The cellco’s total operating revenue declined to JPY3.327 trillion from JPY3.364 trillion in the same period as operating expenses climbed to JPY2.740 trillion from JPY2.675 trillion in 9M FY2013. Operating income of JPY587.1 billion in the period under review compared to JPY688.7 billion previously. EBITDA margin shrank 3.5 percentage points to 33.2%, it said. Finally, capital expenditure for the nine-month period dipped to JPY439.3 billion from JPY472.3 billion.

DOCOMO said its mobile communications business contributed the lion’s share of revenue – JPY2.791 trillion in 9M FY2014 – while new businesses (i.e. smart life and other operations) generated JPY319.4 billion and JPY235.4 billion, respectively. The mobile operator closed out December 2014 with a total of 28.3 million 4G Long Term Evolution (LTE) subscribers, up by around 50% from 19.02 million at end-2013. Further, combined sales of voice-over-LTE (VoLTE)-enabled devices reached 3.3 million in the year, it said. Overall, DOCOMO had 65.274 million mobile subscribers at the start of this year, up from 62.182 million a year earlier, of which 36.976 million were 3G (FOMA) users.

Looking ahead, for fiscal year ending 31 March 2015 the company expects net income attributable to the company of JPY420.00 billion and JPY104.45 per basic share, and operating revenues of JPY4.40 trillion.

Japan, NTT DOCOMO